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Hokitika Guardian, 28 May 1932, Page 4

Widespread inquiries as to the operation of the Unemployment Amend ment Act of last session are being made by persons who are still confused as to the provisions attaching to the increased taxation and the exemptions allowable. Most uncertainty exists over the taxation on incomes other than salary and wages, and in order to clarify the position the Unemployment Board has drawn up the following explanatory statement:—The principal changes that have been effected in the law relating to unemployment taxation by the 1932 Amendment Act are:—(l) An increase in the rate of the emergency unemployment charge from three pence to one shilling in the pound. (21 The extension of the tax for an indefinite period instead of confining it to one year as under the 1931 Amendment Act. (3) Provid'ng I that, in the case of women, fill income other than salary or wages in excess of £2O per annum is liable few charge. Under the Unemp'oyment Amendment Act, 1931, on t > year’s taxation was levied (both on salaries and wages and on other income) at the rate of one penny for each amount of six shillings and eight pence. At t'’c time of passing of the Unemployment Amendment Act, 1932, (April CO), pors::m; who derived income other than salaries or wages during the year elided March 31, 1931, had paid (or should have paid) the equivalent of eight months’ taxation, that 'is, on onethird of such income on November 1, i 1931, and on another third on February 1, 1932. The third instalment 1 under the 1931 Act (which was vc-q-uined to he computed on one-third of the inn ”'o for the vear ended March 31, 1*132, and would have been payable o n Mav 1, 1932) was cancelled by th" 1932 Act a-’d for it was substituted a charge on the whole, of the income for that year, at the rate of one penny for each amount of one shilling and eight pence, payable in

four equal instalments on the first day of the - months of May, August, and November, 1932, and February, 1933. and a similar charge for subsequent years. The charge on salaries and wages was also increased to the rate mentioned a,s from May 1, 1932. It should be clearly understood that although the third instalment of the charge on income other than salary or wages imposed by the 1931 Act, is cancelled as above, the first and second instalments are not affected, and if they have not already been paid they are now payable, plus 10- per cent, penalty and defaulters aire liable to a. further penalty on prosecution and conviction. Under the 1931 Act women were liable for -the charge of income other than salary or wages if they total income (inclusive of salary or wages) was £2oO or more per annum ; under the 1932 Act, however, women have, so far a.s income other than salary or wages is concerned, a universal Exemption of £2O per a* 1 - num. All “other income” in ‘exoeas of that amount derived by women is taxable regardless cf whether or not salary or wages is also received.